Concentrix (NASDAQ:CNXC) Shares Gap Up Following Better-Than-Expected Earnings

Concentrix Co. (NASDAQ:CNXC) shares gapped up prior to trading on Thursday following a better than expected earnings announcement. The stock had previously closed at $45.68, but opened at $51.49. Concentrix shares last traded at $59.86, with a volume of 747,478 shares changing hands.

The company reported $2.79 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.58 by $0.21. Concentrix had a return on equity of 16.67% and a net margin of 2.61%. The business had revenue of $2.37 billion during the quarter, compared to analysts’ expectations of $2.37 billion. During the same period in the prior year, the firm posted $2.57 EPS. The business’s quarterly revenue was down 1.3% compared to the same quarter last year.

Concentrix Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, May 6th. Shareholders of record on Friday, April 25th will be paid a $0.3328 dividend. The ex-dividend date is Friday, April 25th. This represents a $1.33 annualized dividend and a yield of 2.05%. Concentrix’s dividend payout ratio is currently 35.85%.

Analyst Ratings Changes

CNXC has been the subject of several research analyst reports. Canaccord Genuity Group lowered their target price on shares of Concentrix from $100.00 to $80.00 and set a “buy” rating for the company in a report on Thursday, January 16th. Bank of America upped their price objective on shares of Concentrix from $58.00 to $59.00 and gave the company a “neutral” rating in a research note on Thursday. Finally, Barrington Research cut their target price on Concentrix from $70.00 to $54.00 and set an “outperform” rating on the stock in a research report on Monday. One research analyst has rated the stock with a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Buy” and a consensus target price of $69.60.

Insider Activity at Concentrix

In related news, Director Kathryn Hayley purchased 500 shares of the stock in a transaction that occurred on Wednesday, January 22nd. The shares were purchased at an average price of $50.22 per share, with a total value of $25,110.00. Following the completion of the acquisition, the director now directly owns 3,034 shares in the company, valued at $152,367.48. This represents a 19.73 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. 3.20% of the stock is owned by insiders.

Institutional Trading of Concentrix

A number of hedge funds have recently added to or reduced their stakes in the stock. CSS LLC IL purchased a new stake in shares of Concentrix during the fourth quarter worth approximately $355,000. PharVision Advisers LLC acquired a new position in Concentrix in the 4th quarter valued at $465,000. Paradigm Capital Management Inc. NY raised its position in Concentrix by 2.7% during the 4th quarter. Paradigm Capital Management Inc. NY now owns 750,142 shares of the company’s stock worth $32,459,000 after buying an additional 19,418 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of Concentrix by 15.8% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 124,769 shares of the company’s stock worth $5,399,000 after acquiring an additional 17,019 shares during the period. Finally, Voloridge Investment Management LLC purchased a new stake in shares of Concentrix in the fourth quarter valued at about $1,202,000. 90.34% of the stock is owned by institutional investors and hedge funds.

Concentrix Trading Up 42.4 %

The firm has a market cap of $4.18 billion, a PE ratio of 17.53, a P/E/G ratio of 0.63 and a beta of 0.69. The company’s fifty day moving average price is $47.90 and its two-hundred day moving average price is $47.85. The company has a quick ratio of 1.42, a current ratio of 1.42 and a debt-to-equity ratio of 1.17.

About Concentrix

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications.